Question
BlueSky Corporation is conducting a sensitivity analysis for its financial forecasts. The company projects annual sales revenue of $2,000,000 with a best-case scenario of $2,200,000
BlueSky Corporation is conducting a sensitivity analysis for its financial forecasts. The company projects annual sales revenue of $2,000,000 with a best-case scenario of $2,200,000 and a worst-case scenario of $1,800,000. Calculate the percentage change in net income for both the best-case and worst-case scenarios and analyze the sensitivity of financial forecasts to changes in sales revenue.
Calculate the percentage change in net income for the best-case and worst-case scenarios and analyze the sensitivity of financial forecasts for BlueSky Corporation.
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